GVR Report cover Multi-Cloud Management Market Size, Share & Trends Report

Multi-Cloud Management Market Size, Share & Trends Analysis Report By Solution (Security & Risk Management, Training & Consulting, Cloud Automation), By Enterprise Size, By End-use, By Region, And Segment Forecasts, 2021 - 2028

  • Published Date: Oct, 2021
  • Base Year for Estimate: 2020
  • Report ID: GVR-4-68039-643-5
  • Format: Electronic (PDF)
  • Historical Data: 2018 - 2019
  • Number of Pages: 185

Report Overview

The global multi-cloud management market size was valued at USD 5.09 billion in 2020 and is expected to expand at a compound annual growth rate (CAGR) of 26.3% from 2021 to 2028. The growing emphasis on automation, efficiency and effective organizational governance processes is expected to drive the growth of the market over the forecast period. Enterprises are aggressively opting for multi-cloud management solutions to ensure efficient and more reliable services at lower prices across a variety of platforms while avoiding a vendor lock-in situation. The rising versatility of cloud computing technologies and the growing adoption of containerization and micro-services for cloud-native applications also bode well for the growth of the market.

U.S. multi-cloud management market size, by type, 2018 - 2028 (USD Billion)

Multi-cloud management solutions allow enterprises to manage multiple cloud services, such as SaaS, PaaS, and IaaS, under a single heterogeneous architecture. Multi-cloud management allows enterprise-class applications to be deployed and managed across public, private, and hybrid clouds. It also allows businesses to simplify cloud storage management while strengthening security. The continued rollout of high-speed 5G networks; advances in the latest technologies, including AI and machine learning; and the increased flexibility offered by the latest cloud computing technologies are expected to drive the growth of the market over the forecast period.

Concerns over the reliability of single cloud and vendor lock-in situations, a growing predisposition toward price-sensitive cloud installations, and the rising pressure to ensure compliance with various data security and privacy protection regulations are prompting enterprises to opt for multi-cloud management solutions. Multi-cloud management provides end-users with greater bargaining power as end-users get in a better position to switch between different providers rather than relying on a single provider. Besides, end users can also utilize multi-cloud management to distribute their workload across various clouds and ensure more flexibility in data deployment. As such, multi-cloud management typically helps in avoiding a vendor lock-in situation and rather allows end-users to switch easily between vendors.

The outbreak of the COVID-19 pandemic has been driving the adoption of multi-cloud management solutions. Given the lockdowns and restrictions imposed by various governments in the wake of the outbreak of the pandemic, organizations that have already shifted their workloads to the cloud are enjoying a winning edge over their competitors. Effective cloud management is allowing employees to operate remotely without compromising on productivity. Apart from deploying dedicated solutions to help their employees in working remotely, organizations have also cooperated with companies, such as Microsoft, AWS, and Zscaler, to improve the agility while servicing clients and ensuring adequate data security in the wake of the uncertainties brought up by the outbreak of the pandemic.

However, a looming lack of adequate expertise and the challenges associated with re-designing the network for the cloud are some of the factors that are expected to restrain the growth of the market. The complex deployment structure of multi-cloud environments and the complexities involved in establishing and managing multi-cloud environments are emerging as the major market restraints. Redesigning the networks from on-premises deployment to cloud-based deployment also calls for significant upfront investments, which can particularly discourage SMEs from opting for multi-cloud management solutions owing to their budget and resource constraints. Businesses would also have to address several concerns, including those over the network architecture before they can migrate to a cloud-based infrastructure and further to multi-cloud environments.

Solution Insights

The cloud automation segment accounted for the largest market share of over 27% in 2020. Companies are increasingly opting for automation to help them in managing various private, public, and hybrid cloud environments with limited human resources. Artificial Intelligence (AI) and Machine Learning (ML) are expected to play a major role in cloud automation decision-making, including extensive log analysis. Systems and solutions based on AI and ML are capable of analyzing large volumes of logging data and searching for patterns. The insights obtained thereby can be used to predict the failure of server components or application breakdowns. In other words, cloud automation can help considerably in capacity planning by facilitating better forecasting of infrastructure requirements.

Hardships in governance stemming from a multi-cloud approach are also prompting businesses to opt for cloud automation to ease the management of their public, private, and hybrid cloud systems. For instance, looking forward into the future, cloud automation can accommodate dashboards to allow engineers to view all their disparate cloud services in a single window. The adoption of cloud automation is also expected to gain traction as organizations are opting for analytics services, along with other services, to support cloud solutions. Moreover, any increase in ML capabilities to analyze more contingent data can also potentially benefit cloud automation significantly.

Enterprise Size Insights

The large enterprise segment accounted for the largest market share of over 58% in 2020. A multi-cloud strategy allows businesses to choose from a variety of cloud services and opt for those suiting their specific requirements. The ML capabilities offered by multi-cloud environments can potentially aid in big data transfers, thereby driving the demand for multi-cloud management solutions from large enterprises. Multi-cloud adoption provides alternative options for enterprises rather than relying on the infrastructure, add-on services, and pricing quoted by a single cloud provider. Moreover, enterprises can also select a cloud provider with data centers located closer to their clients to reduce latency and improve performance indicators.

Multi-cloud allows businesses to utilize a variety of cloud technologies for a variety of applications. With a multi-cloud approach, large organizations can easily distribute their heavy workloads selectively across several computing infrastructures. Such an approach can help in saving costs, encourage innovation, strengthen disaster management, ensure business continuity, and increase efficiency. Multi-cloud strategies also bring IT resources closer to customers, thereby resulting in lower latency and fewer dropouts. As the number of cloud providers continues to grow and the IT environment continues to get more complex, the competition in the multi-cloud management market is intensifying and is subsequently prompting market players to employ the latest technologies to defend their position in the market and expand further.

End-use Insights

The BFSI segment accounted for the largest market share of over 25% in 2020. Banking organizations are particularly opting for cloud-based installations to enhance operational efficiency and ensure prompt services for their customers. BFSI companies typically prefer multi-cloud environments so that in the event of a failure of one cloud, the other cloud can take over. Vendors are providing cloud solutions for financial institutions to highly secure their settings and workloads along with ensuring regulatory compliance. For instance, in November 2019, International Business Machines Corporation announced the development of a public cloud for financial services that can potentially help financial organizations in ensuring regulatory compliance, security, and resiliency standards. The public cloud platform leverages the company’s industry-leading encryption services and a policy structure designed specifically to serve financial services regulatory workloads with proactive and automated security.

Global multi-cloud management market share, by end-use, 2020 (%)

Incumbents of the BFSI industry are incorporating both public and private cloud platforms in their workflows and utilizing multi-cloud management solutions to address the complexities associated with handling large volumes of data and to avoid a vendor lock-in situation. Market players offering multi-cloud management are collaborating with the incumbents of the BFSI industry to launch new products in the market. For instance, in June 2020, International Business Machines Corporation announced that Banco Sabadell, the first 100% mobile bank in Mexico, would host its infrastructure on the IBM public cloud and utilize Red Hat Enterprise Linux to update applications and deliver innovative services to its customers. The bank would also be able to accelerate innovation and pursue a more agile approach to introduce new digital services with increased flexibility and security in an open cloud environment.

Regional Insights

North America dominated the market in 2020 with a revenue share of over 35%. In North America, the cloud services market is witnessing a rapid transition from isolated cloud solutions to platforms combining onsite, public, and private IaaS. The continued rollout of wireless connectivity and the growing adoption of connected devices and IoT-enabled devices have been driving the demand for innovative solutions based on the latest technologies. As a result, market players are investing aggressively in modern technologies to gain a competitive advantage over their competitors. The growing demand for efficient computing frameworks also bodes well for the growth of the market in North America.

Europe emerged as the second-largest regional market. Apart from a strong economy, Europe is also known for its robust connectivity infrastructure, which is typically driving the adoption of cloud services. A looming migration of workloads to the cloud is particularly evident in Europe as part of the efforts to lower the expenses associated with the fixed capacity infrastructure and to leverage cloud-native services to roll out a highly scalable infrastructure using the cloud. The presence of several multi-cloud architectural regions is also driving the adoption of multi-cloud management solutions in Europe. Asia Pacific is emerging as the third-largest regional market driven by the growing adoption of cloud-based solutions and integration of new technologies, such as IoT and edge computing.

Key Companies & Market Share Insights

Mergers and acquisitions and strategic partnerships are turning out to be the most effective ways for market players to gain quick access into emerging markets. For instance, in September 2020, VMware, Inc. acquired Mode.net, a company known for transforming physically distinct service underlays into cohesive networks that incorporate cloud-scale and versatility with guaranteed QoS and SLAs. The acquisition was aimed at further strengthening VMware's roster of technologies and skills as it continues to deliver VMware Telco Cloud Platform to communications service providers around the world. Similarly, in February 2021, Accenture plc and VMware, Inc. announced an expanded partnership and launched the Accenture VMware Business Group, a dedicated business group to help organizations in adopting a ‘cloud first’ strategy.

On the other hand, product differentiation and upgrades are anticipated to pave the way for market players for market expansion. For instance, in August 2020, VMware, Inc. announced enhancements to its VMware vRealize Cloud Management on-premises and Software-as-a-Service (SaaS) products. The enhancements were aimed at allowing customers to deploy and operate their applications, infrastructure, and platform services more consistently from the data center to the cloud and the edge. Some of the prominent players operating in the global multi-cloud management market are:

  • BMC Software, Inc.

  • Citrix Systems Inc.

  • CloudBolt Software, Inc.

  • CoreStack

  • Dell Technologies Inc.

  • Flexera Software LLC

  • International Business Machines Corporation

  • Jamcracker Inc.

  • Microsoft Corporation

  • VMware Inc.

Multi-Cloud Management Market Report Scope

Report Attribute

Details

Market size value in 2021

USD 6.37 billion

Revenue forecast in 2028

USD 32.75 billion

Growth rate

CAGR of 26.3% from 2021 to 2028

Base year for estimation

2020

Historical data

2018 - 2019

Forecast period

2021 - 2028

Quantitative units

Revenue in USD million and CAGR from 2021 to 2028

Report coverage

Revenue forecast, company ranking, competitive landscape, growth factors, and trends

Segments covered

Type, enterprise size, end-use, region

Regional scope

North America; Europe; Asia Pacific; Latin America; MEA

Country scope

U.S.; Canada; U.K.; Germany; China; India; Japan; Brazil

Key companies profiled

BMC Software, Inc.; Citrix Systems Inc.; CloudBolt Software, Inc.; CoreStack; Dell Technologies Inc.; Flexera Software LLC; International Business Machines Corporation; Jamcracker Inc.; Microsoft Corporation; VMware Inc.

Customization scope

Free report customization (equivalent to up to 8 analysts working days) with purchase. Addition or alteration to country, regional & segment scope.

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Segments Covered in the Report

This report forecasts revenue growth at the global, regional, and country levels and provides an analysis of the latest industry trends in each of the sub-segments from 2018 to 2028. For this study, Grand View Research has segmented the global multi-cloud management market report based on solution, enterprise size, end-use, and region:

  • Solution Type Outlook (Revenue, USD Million, 2018 - 2028)

    • Security & Risk Management

    • Training & Consulting

    • Reporting & Analytics

    • Cloud Automation

    • Managed Services

    • Others

  • Enterprise Size Outlook (Revenue, USD Million, 2018 - 2028)

    • Small & Medium Enterprise (SME)

    • Large Enterprise

  • End-use Outlook (Revenue, USD Million, 2018 - 2028)

    • BFSI

    • IT & Telecom

    • Consumer Goods & Retail

    • Manufacturing

    • Healthcare

    • Media & Entertainment

    • Government

    • Others

  • Regional Outlook (Revenue, USD Million, 2018 - 2028)

    • North America

      • U.S.

      • Canada

    • Europe

      • U.K.

      • Germany

    • Asia Pacific

      • China

      • Japan

      • India

    • Latin America

      • Brazil

    • Middle East & Africa

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